Constitutional Law Part 2: The Federal Legislative Power Lecture 2: The Scope of Congressional Power – Introduction to the Commerce Clause

Constitutional Law – Professor David Thaw Part 2 Lecture 2Slide 2 Introduction to the Commerce Power “The Congress shall have the power... [t]o regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes....” (Article 1, Section 8) Interpreting the Commerce Clause brings up three questions: 1.What is “commerce”? 2.What does “among the several states” mean? 3.Does the 10 th Amendment limit Congress’ Commerce Clause power? Initially, the Supreme Court adopted an expansive view of the scope of the Commerce Clause.

Constitutional Law – Professor David Thaw Part 2 Lecture 2Slide 3 Gibbons v. Ogden Background The New York legislature granted a monopoly to Robert Fulton and Robert Livingston for operating steamboats in New York waters. Fulton and Livingston licensed Aaron Ogden to operate a ferry boat between on New York waters. Thomas Gibbons operated a competing ferry service, thus violating the rights of Fulton, Livingston, and Ogden under the monopoly. Gibbons maintained that he had the right to operate his ferry because it was licensed under a federal law. Nonetheless, Ogden successfully sued for an injunction in the New York state courts.

Constitutional Law – Professor David Thaw Part 2 Lecture 2Slide 4 Gibbons v. Ogden Issue 1: Does a state have the power to grant an exclusive right to the use of state waterways inconsistent with federal law? Holding 1: The monopoly granted by the New York legislature was preempted by the federal law that authorized Gibbons to operate a ferry in New York. – The Court also found that the New York monopoly was an impermissible restriction of interstate commerce.

Constitutional Law – Professor David Thaw Part 2 Lecture 2Slide 5 Gibbons v. Ogden Issue 2: Is the federal law a constitutional exercise of Congress’ commerce power? Holding: The court said that commerce includes all phases of business, including navigation. – “Commerce undoubtedly is traffic, but it is something more: it is intercourse. It describes the commercial intercourse between nations, and parts of nations, in all its branches, and is regulated by prescribing rules for carrying on that intercourse.” (CB 159) Congress is not limited to purely interstate activities, but can also regulate intrastate commerce if it has an impact on interstate activities. – “The word ‘among’ means intermingled with. A thing which is among others, is intermingled with them. Commerce among the States, cannot stop at the external boundary line of each State, but may be introduced into the interior.”